STATE BANK OF VIETNAM HO CHI MINH UNIVERSITY OF BANKING DINH THI PHUONG LY FACTORS INFLUENCING STUDENTS INTENTON TO PURCHASE NATURAL COSMETIC PRODUCTS IN HO CHI MINH UNIVERSITY OF BANKING GRADUATION T.
STATE BANK OF VIETNAM HO CHI MINH UNIVERSITY OF BANKING DINH THI PHUONG LY FACTORS INFLUENCING STUDENTS INTENTON TO PURCHASE NATURAL COSMETIC PRODUCTS IN HO CHI MINH UNIVERSITY OF BANKING GRADUATION THESIS OUTLINE MAJOR: BUSINESS ADMINISTRATION CODE: 7340101 SUPERVISOR: PhD BUI DUC SINH HO CHI MINH CITY – 2022 STATE BANK OF VIETNAM HO CHI MINH UNIVERSITY OF BANKING DINH THI PHUONG LY FACTORS INFLUENCING STUDENTS INTENTON TO PURCHASE NATURAL COSMETIC PRODUCTS IN HO CHI MINH UNIVERSITY OF BANKING GRADUATION THESIS OUTLINE MAJOR: BUSINESS ADMINISTRATION CODE: 7340101 SUPERVISOR: PhD BUI DUC SINH HO CHI MINH CITY – 2022 TÓM TẮT Mặc dù người có ý thức lối sống lành mạnh thúc đẩy việc tiêu dùng mỹ phẩm thiên nhiên nhiều yếu tố khiến người tiêu tùng hoang mang không tin tưởng Nghiên cứu dựa lý thuyết hành vi hoạch định để nhằm xác định yếu tố ảnh hưởng đến ý định mua mỹ phẩm sinh viên phạm vi Đại học Ngân Hàng Thành phố Hồ Chí Minh Dữ liệu thu thập thông qua bảng biểu câu hỏi trực tuyến Google Khảo Sát kích thước mẫu 249 Để phân tích liệu, tác giả sử dụng phần mềm SPSS Dựa theo liệu phân tích yếu tố ảnh hưởng đến ý định mua mỹ phẩm thiên nhiên: Ý thức sức khỏe, Nhận thức môi trường, Giá khuyến mãi, Chất lượng sản phẩm, Hình ảnh thương hiệu An tồn sản phẩm Đánh giá người có tác động đáng kể đến ý định mua mỹ phẩm người tiêu dùng Trong yếu tố Chất lượng sản phẩm có tác động lớn Theo kết nghiên cứu, doanh nghiệp xây dựng chiến thuật tiếp thị hiệu để nâng cao ý định mua mỹ phẩm thiên nhiên người tiêu dùng Cuối cùng, nghiên cứu nêu ứng dụng, khuyến nghị mặt nghiên cứu chưa làm để hỗ trợ cho nghiên cứu tác giả sau Từ khóa: mỹ phẩm thiên nhiên, ý định mua hàng, mỹ phẩm organic, lý thuyết hành vi hoạch định ABSTRACT Despite the fact that people value a healthy lifestyle and encourage the use of natural cosmetics, there are still a number of reasons that lead to consumer confusion and distrust The purpose of this study is to evaluate the factors influencing students' intentions to buy cosmetics at the Ho Chi Minh University of Banking, based on the theory of planned behavior The data was acquired using the Google Survey online questionnaire, with a sample size of 249 The author utilized SPSS software to examine the data The elements influencing the intention to buy natural cosmetics, according to the examined data, are: Health consciousness, Environmental awareness, Promotion Price, Product quality, Brand Image and Product safety Consumers' intentions to buy cosmetics are strongly influenced by how these persons are rated In whatever case, the element of product quality has the largest influence Businesses may establish successful marketing methods to enhance customers' intentions to buy natural cosmetics, according to the findings of the study Finally, the paper discusses applications, recommendations, and research topics that have still to be explored in order to help the authors' future research Keywords: natural cosmetic, purchase intention, organic cosmetics, theory of planned behavior DECLARATION I certify that this thesis was prepared completely by myself and that it has never been submitted before, in whole or in part, in any previous application for a degree Unless otherwise specified in a reference or credit, the content provided is all my own The study was conducted at Ho Chi Minh City's Banking University under the leadership of Phd Bui Duc Sinh Thesis‟s Author Dinh Thi Phuong Ly ACKNOWLEDGEMENT First and foremost, I want to thank my supervisor, PhD Bui Duc Sinh, for providing me with valuable information and helpful suggestions for my bachelor's thesis, as well as for his patience, passion, and inspiration Furthermore, I am thankful to not just the teachers and lecturers at Ho Chi Minh University of Banking who provided me with crucial information and skills throughout my stay there Last but not least, I would like to express my gratitude to the examiners for investing so much time in evaluating my thesis TABLE OF CONTENTS CHAPTER INTRODUCTION 10 1.1 Background of the study 10 1.2 Research Objectives and Research Questions 11 1.3 Research Subjects 12 1.4 Research Methodology 12 1.5 The Scope of Research 13 1.6 Structure 13 CHAPTER LITERATURE REVIEW 15 2.1 Concept and Definitions 15 2.1.1 Natural Cosmetics Industry 15 2.1.2 Natural Cosmetics Marketing 20 2.1.3 Purchase Intention 21 2.1.4 The theory of planned behavior (TPB) 22 2.1.5 The theory of reason action (TRA) 24 2.2 Previous Empirical Studies 25 2.2.1 The research of Sabahat Shakeel, Emadul Karim (2019) 25 2.2.2 The research of Sidra Ishaq, Hammad Badar and Hira Javed (2021) 27 2.2.3 The research of Hee Yeon Kim and Jae-Eun Chung (2011) 29 2.2.4 The research of Wararat Wiwatanapusit (2018) 30 2.3 Hypothesis and Conceptual Models 32 2.3.1 Hypothesis 32 2.3.2 Conceptual Model 37 CHAPTER THE RESEARCH METHODOLOGY 38 3.1 Research process 38 3.2 Research methods 39 3.2.1 Qualitative methods 39 3.2.2 Quantitative methods 39 3.3 Sample description 41 3.4 Survey design 41 3.4.1 Scale used in survey 41 3.4.2 The questionnaire design 42 CHAPTER RESEARCH RESULT 47 4.1 Sample description 47 4.2 Testing the reliability of cronbach‟s alpha 50 4.3 Exploratory Factor Analysis – EFA 52 4.3.1 Independent Variables 52 4.3.2 Dependent Variables 54 4.4 Test model and hypothesis 55 4.4.1 Pearson correlation analysis 55 4.4.2 Multivariate Regression Analysis 57 4.5 Discussion 65 CHAPTER CONCLUSION 67 5.1 Conclusion 67 5.2 Implications 68 5.2.1 Academic Implications 68 5.2.2 Practical Implications 68 5.3 Limitations and suggestions for future research 70 REFERENCESa 72 APPENDIX 74 Figure - Theory of planned behaviour 23 Figure 2- Theory of reason action 24 Figure The research of Sabahat Shakeel, Emadul Karim (2019) 26 Figure The research of Sabahat Shakeel, Emadul Karim (2019) 26 Figure The research of Sidra Ishaq, Hammad Badar and Hira Javed (2021) 28 Figure The research of Hee Yeon Kim and Jae-Eun Chung (2011) 30 Figure The research of Wararat Wiwatanapusit (2018) 32 Figure Proposed Research Model 37 Figure Histogram chart 61 Figure 10 P- P Plot Chart 62 Figure 11 Scatterplot chart 63 Table - Health consciousness scale 43 Table - Environmental awareness scale 43 Table - Promotion Price scale 43 Table - Product Quality scale 44 Table - Brand Image scale 44 Table - Product Safety scale 45 Table - Purchase Intention scale 45 Table 4- Descriptive statistics table of the survey sample 47 Table 4- Table of Cronbach's Alpha coefficients of independent and dependent variables 50 Table 4- Rotated Component Matrix of independent variables 53 Table 4- EFA analysis results for dependent variable 54 Table 4- Correlations Coefficient Pearson Correlations 56 Table 4- Test results of model fit and autocorrelation 57 Table 4- Results of analysis of ANOVA 58 Table 4- Result of Coefficients 58 CHAPTER INTRODUCTION 1.1 Background of the study In today's markets, cosmetics have become increasingly popular in the daily lives of most Vietnamese in recent years Beauty has long been an indispensable need for women However, the microplastics and chemicals contained in traditional cosmetics can have a negative impact both on the natural world and on people‟s well-being (SeinfeldandPandis, 2016; Andrady, 2011) Over the last few decades, consumers have been founders of living a healthy and sustainable lifestyle They have been increasingly worried about the negative impact of harmful cosmetics chemical ingredients (such as parabens) on their health (Chery and Wischhover, 2018) They have also been more aware of a direct or an indirect negative impact exerted on the natural environment and social welfare brought by their purchase decisions (Sahota, 2014) Matic M., Barbara P (2015) studied consumers‟ purchase intentions towards Natural cosmetics The main aim of study was to identify the determinants that influence intentions of consumers towards purchasing natural cosmetics The data was collected through online questionnaires Data were collected from 204 samples Logistic regression and correlation were used for data analysis Results of the correlation analysis indicate that there is a strong positive correlation between purchase intentions towards natural cosmetics and consumer references of natural cosmetics The findings may be useful to online retailers, as well as marketers and practitioners to recognize and better understand the new trends that occur in the industry of natural cosmetics According to The Worldwide Fund for Nature, since the 1980s human requirements have outstripped what the earth's biological system can give The growing importance of resource depletion and pollution has served as a warning to people 10 natural cosmetics, cosmetic manufacturers and marketers should increase communication through newspapers, radio, television, social media, and other outlets, as well as through celebrities and influencers, so that consumers understand the link between using organic cosmetics and protecting one's health and the environment, or the safety and quality value of natural cosmetics compared to other cosmetics In order to achieve the intended impact, firms must consider current expenses and target audiences when selecting a communication medium (radio, television, or social media) and a time period Basic knowledge about organic cosmetics, the relationship between cosmetics use and health and environmental protection, or scandals, harmful to health and the environment when using conventional products to promote and encourage consumers to use more natural cosmetics are examples of publicity contents Moreover, to boost awareness of organic cosmetics among customers who have prioritized products, firms could collaborate with health and environmental groups or other green or organic product enterprises Green organic Businesses might provide trial items or arrange social media activities at these events to generate a viral impact among individuals who love ecologically friendly and healthy products For those who haven't explored too far, this is a nice place to start Marketers must use their power to influence customers and actively promote healthy, sustainable lives For example, marketers must improve communication with customers and provide them with more objective product knowledge about natural cosmetics, such as the manufacturing process, ingredient sources, and the positive and negative impacts of various natural substances To strengthen industry standards and generate uniform certifications, marketers should work together with Non Goverments Organizations and Governments It is vital for domestic cosmetic producers to enhance technology and agricultural systems in order to register for organic standards and follow the direction of creating organic cosmetics, 69 since this is projected to be a consumer trend Vietnam has a lot of advantages when it comes to cosmetics and natural substances 5.3 Limitations and suggestions for future research Despite its fascinating theoretical and practical ramifications, the study contains a number of flaws The author was constrained in terms of the number of survey participants and the scope of the research due to the short time window for completing this study, which was just ten weeks A longer study period may have allowed for the conduct of interviews with influencers so that their viewpoints may be included in a comparative analysis Furthermore, the conclusions of this study are limited in their generalizability due to the qualitative nature of the research, in which individuals in the study sample are frequently selected based on specific criteria Unlike quantitative research, where the study's sample is likely to be numerically representative of the population of interest, the findings from qualitative research can be extrapolated to that group On the orther hand other new methodologies and technologies are also available to more precisely assess, analyze, and test theoretical models The SEAR linear structural model may be applied using MSS software to provide more precise results on the relationship between the model's components Because of his limited skill and expertise, the author uses the multiple linear model to only measure the one-way relationship between the elements There are several more aspects in addition to those indicated in the research model Other elements, not addressed by the author, influence customers' intention to purchase natural cosmetics Future research employing hybrid methodologies might help overcome this limitation while also enhancing and widening the data collected and, as a result, the empirical findings Another limitation is the possibility of bias in the replies and interpretations of survey participants This is a downside of doing an online survey since some 70 respondents may be influenced and may not discuss the themes as passionately as they would if questioned in person, for example: a multi-year longitudinal study might be utilized for future research The continual progress of technology, social networking sites, and communication may have an impact on such studies Another interesting aspect of future research may be to look at customers' various degrees of natural cosmetics participation like (concern about appearance, short shelf life of natural cosmetics, convenience), as different levels of engagement may have varied effects on purchase intent 71 REFERENCES Ajzen (1991) The theory of planned behavior https://www.sciencedirect.com/science/article/abs/pii/074959789190020T#BIB5 Chi Hsin-Kuang;Yeh, Huery-Ren;Chiou, Cherng-Ying (2009) The Effects of Brand Affect on Female Cosmetic Users Brand Loyalty in Taiwan http://nhuir.nhu.edu.tw/bitstream/987654321/27167/1/The+Effects+of+Brand+Affect pdf FLEMING, O (2019) Clean Hair Care Is Hard—But Not Impossible https://www.harpersbazaar.com/beauty/hair/a28564938/organic-hair-products/ Gražina Šniepienė; Rita Jankauskienė (2021) ORGANIC PERSONAL CARE COSMETICS: BEHAVIOR OF CHOICE AND CONSUMPTION file:///C:/Users/ADMIN/Downloads/109909875.pdf Group, N (2018) Women’s Facial Skincare Consumer Report 2017 NPD Group Inc Hạnh, N (2020) Mỹ phẩm thiên nhiên: Thị trường rộng lớn màu mỡ https://danviet.vn/my-pham-thien-nhien-thi-truong-rong-lon-va-mau-mo2020081710343224.htm Hee Yeon Kim; Jae-Eun Chung (2011) Consumer purchase intention for organic personal care products www.emeraldinsight.com/0736-3761.htm Jiali Zhang; MeijuanZhou (2019) Factors Influencing Consumer Purchasing Behavior of Natural Cosmetics- A Qualitative Study in Uppsala, Sweden https://uu.divaportal.org/smash/get/diva2:1330362/FULLTEXT01.pdf Kruti Bhatt; Peenal Sankhla (2017) A study on Consumer Buying Behavior towards Cosmetic Products https://www.academia.edu/38902074/A_study_on_Consumer_Buying_Behavior_towa rds_Cosmetic_Products Ligo Koshy;John Manohar (2017) Factors influencing the buying behavior of face care products among youth https://www.researchgate.net/publication/315667663_FACTORS_INFLUENCING_T HE_BUYING_BEHAVIOUR_OF_FACE_CARE_PRODUCTS_AMONG_YOUTH Lim Kah Boon; Yeo Sook Fern; Lee Hue Chee (2020) Generation Y’s Purchase Intention towards Natural Skincare Products: A PLS-SEM Analysis http://www.gbmrjournal.com/pdf/v12n1/V12N1-7.pdf MARIL, M (2020) The Latest Beauty Trend Is Rooted In Ritualistic Self-Care https://www.thezoereport.com/p/the-body-care-trend-is-taking-the-beauty-industry-bystorm-right-now-heres-why-34625133 72 Matea Matić, Barbara Puh (2015) CONSUMERS’ PURCHASE INTENTIONS TOWARDS NATURAL COSMETICS https://hrcak.srce.hr/file/237438 Nguyễn Thị Quỳnh Nga; Lê Đặng Như Huỳnh (2020) CÁC NHÂN TỐ ẢNH HƯỞNG ĐẾN Ý ĐỊNH MUA SẮM MỸ PHẨM ORGANIC CỦA NGƯỜI TIÊU DÙNG TRÊN ĐỊA BÀN THÀNH PHỐ HỒ CHÍ MINH https://tapchi.ftu.edu.vn/c%C3%A1c-s%E1%BB%91t%E1%BA%A1p-ch%C3%AD-kt%C4%91n/184-t%E1%BA%A1p-ch%C3%ADkt%C4%91n-s%E1%BB%91-110-%C4%91%E1%BA%BFn-s%E1%BB%91119/t%E1%BA%A1p-ch%C3%AD-kt%C4%91n-s%E1%BB%91-116/1586c%C3%A1c-nh%C3%A2n-t%E1%BB%91-%E1%BA%A3nh-h%C OKUMU, J A (2015) AN INVESTIGATION OF FACTORS INFLUENCING CONSUMER BEHAVIOR http://erepo.usiu.ac.ke/bitstream/handle/11732/595/JACINTA%20ATIENO%20OKU MU%20MBA%202015.pdf?isAllowed=y&sequence=4 Ph.D Pham Hung Cuong; Tran Thi Hau (2021) Factors affecting the decisions of consumers living in Ho Chi Minh City to buy facial skin care products http://tapchicongthuong.vn/bai-viet/quyet-dinh-mua-san-pham-cham-soc-da-mat-cuanguoi-tieu-dung tren-dia-ban-thanh-pho-ho-chi-minh-80187.htm Salina Akter & M Sirajul Islam (2020) Factors influencing the attitude of women towards purchasing green products: An explorative case study of organic cosmetics in Sweden https://www.researchgate.net/publication/347439850_Factors_influencing_the_attitude _of_women_towards_purchasing_green_products_An_explorative_case_study_of_org anic_cosmetics_in_Sweden Shakeel, S a (2019) Consumer Buying Behavior: Organic Cosmetics versus Non-Organic Cosmetics https://mpra.ub.uni-muenchen.de/110098/ Sidra Ishaq; Hammad Badar; Hira Javed (2021) Factors Influencing Female Purchase Behavior for Organic Cosmetic Products in Pakistan http://dx.doi.org/10.31703/gssr.2021(VI-I).40 WIWATANAPUSIT, W (2018) A STUDY OF CONSUMER BEHAVIOR TOWARD ORGANIC SKIN AND PERSONAL CARE PRODUCTS http://ethesisarchive.library.tu.ac.th/thesis/2017/TU_2017_5902040921_8431_6721.pd f 73 APPENDIX What is your gender? Female Male What is your age? 18 – 22 22 – 25 25 – 30 More than 30 SECTION 2: NATURAL COSMETIC USAGE Do you use natural cosmetics? Yes No Which type of Natural Cosmetic you use? Makeup products Face care products Body care products Hair Care Products How often you use purchase frequency of naturals cosmetic products Once every month Every months Every months On a Need Basis What channel you use to seek recommendations on cosmetic 74 products? Facebook Instagram Youtube Tiktok Other How much you spend on beauty products severals a year? Less than 3.000.00 3.000.000-5.000.000 5.000.000-10.000.000 More than 10.000.000 Do you trust natural cosmetics brands in the market of Viet Nam? Yes No What channel you use to seek recommendations on cosmetic products? Facebook Instagram Youtube Tiktok Other 10 How much you spend on beauty products severals a year? Less than 3.000.00 3.000.000-5.000.000 5.000.000-10.000.000 More than 10.000.000 11 Do you trust natural cosmetics brands in the market of Viet Nam? 75 Yes No 76 SECTION 3: NATURAL COSMETICS AND PURCHASE INTENTION I Health consciousness Strongly Agree Neutral Disagree agree Strongly disagree I believe natural cosmetics are good for my health I am willing to give up a few habits and hobbies to protect my health I am a person who is very concerned about my health Using natural cosmetics is synonymous with a healthy lifestyle 77 II Environmental awareness Strongly Agree Neutral Disagree agree I am willing to stop buying products from companies that pollute the environment I prefer to use ecofriendly products I oppose acts that affect the natural life of animals and plants I tend to use vegan cosmetic products 78 Strongly disagree III Promotion Price Strongly Agree agree Neutral Disagree Strongly disagree When shopping for natural cosmetics, I will compare different brands based on the price If I could afford higher quality brands, I would be willing to try them Price is not an important consideration when shopping for cosmetics I‟m willing to pay extra for cosmetics made out of natural ingredients I‟m willing to pay extra for cosmetics in natural packaging 79 IV Product Quality Strongly Agree agree I clearly understand the benefits that natural cosmetics bring compared to conventional cosmetics I have a lot of knowledge about natural cosmetics I think using organic cosmetics is one of the ways to improve the quality of life Standard natural cosmetic production process ensures high quality and prevents health hazards 80 Strongly Neutral Disagre disagree e V Brand Image Strongl y Agree agree Foreign brands are more likely to be of better quality than Vietnamese brands I only buy natural cosmetics products which have a branded name I tend to buy new natural cosmetic brands I buy my cosmetic brand based on personal tastes and preferences Using famous brand cosmetic products increases myself-confidence 81 Neutral Disagree Strongly disagree VI Product Safety Strongl y agree Agre e Neutr Disagr al ee Strong ly disagree I believe that natural cosmetics are completely free of harmful chemicals I believe natural cosmetics are safer than normal cosmetics I believe that natural cosmetics are highly safe Natural cosmetics not cause irritation 82 VII Purchase Intention Strongl y agree I definitely buy natural cosmetics I will buy natural cosmetics in the future if I have a chance I hope to be able to buy natural cosmetics in the near future Next time I buy or use cosmetics, I will choose to buy natural cosmetics If natural cosmetics are available on the market, I will buy them 83 Agree Neutral Disagree Strongly disagree ...STATE BANK OF VIETNAM HO CHI MINH UNIVERSITY OF BANKING DINH THI PHUONG LY FACTORS INFLUENCING STUDENTS INTENTON TO PURCHASE NATURAL COSMETIC PRODUCTS IN HO CHI MINH UNIVERSITY OF BANKING GRADUATION... marketing plans 11 o To determine factors influencing students' intention to purchase natural cosmetic products in Ho Chi Minh University of Banking o Determine the impact of each factor on students' ... intention to purchase cosmetics products? 1.3 Research Subjects A study of factors influencing student‟s intention to purchase natural cosmetic products in Ho Chi Minh University of Banking 1.4